Coin Bureau, a closely followed crypto YouTube channel, says its layer 2 scaling solution Polygon (MATIC) is poised for a new rally as the server transitions to the leading altcoin Ethereum (ETH) proof-of-stake protocol. Here are the crypto analyst’s comments…
How will the transition of ETH to PoS affect this altcoin project?
Guy, host of crypto YouTube channel Coin Bureau, says in his new video that the much anticipated Ethereum upgrade will increase demand for Blockchain scaling platforms like Polygon. Stating that the leading altcoin Ethereum is in the process of transitioning to proof-of-stake, the analyst states that many people wonder whether Polygon will be needed. It looks like the consolidation will have minimal impact on Ethereum’s scalability, according to the analyst.
Stating that the said merger is also likely to increase the demand for Ethereum, Guy adds that this will make it more difficult to use. It also means that tier-2s may soon be needed more than ever, and Polygon is perfectly positioned to make a profit. The analyst comments on the popular altcoin Polygon:
MATIC, despite being in an uptrend, did not rise much in percentage last year. This means that something is suppressing the price of MATIC and the answer seems to be supply.
Polygon price speculation?
Historical data from CoinMarketCap shows that the circulating supply of MATIC has increased by nearly 600 million in the last four months. Coinecko’s historical data shows that the circulating supply of MATIC has not changed at all. However, this is highly unlikely given the altcoin project’s vesting schedule, according to the analyst. As we previously reported as
Kriptokoin.com, speculations that the sale of the Polygon foundation suppressed the price of MATIC have made crypto headlines recently. Guy says Polygon lags behind similar altcoin platforms like Avalanche (AVAX) in terms of wallet and transaction growth, but future developments will impact MATIC’s upside potential.
MATIC looks bearish. As you can see, the number of new wallet addresses in Polygon’s POS chain seems to be fixed. The daily number of transactions on Polygon paints a pretty bad picture for MATIC’s price potential. But that ultimately depends on the demand that can be created by the approaching milestones in the Polygon roadmap.”
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